Ponderosa Development Corporation (PDC)

• Question:

Write the monthly cost function c(x), revenue function r(x), and profit function p(x).

• Answer:

c(x) = variable cost + fixed cost = 105,000x + 40,000

r(x) = 115,000x

p(x) = r(x) - c(x) = 10,000x - 40,000

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